In 2036, Investors Will Regret Not Loading Up on This Multibagger in the Making

A multibagger stock is one that has doubled your money or more. Peter Lynch, the highly respected investment manager who ran the Magellan Fund for 14 years, coined the term in his book, One Up on Wall Street. He uses baseball lingo -- where "sacks" or "bags" represent bases -- to describe how many times an investor has "run the bases" with a single stock.

Regeneron Pharmaceuticals (NASDAQ: REGN) is a leading biotech company that has been a steady, if not spectacular performer, delivering a 106% gain over the past decade. Despite that, the company has the potential to double investors' returns in the next few years, making it a two-bagger.

That potential lies in the company's promising pipeline, which includes 26 candidates in late-stage trials.

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What is Regeneron known for?

The biotech develops treatments for eye diseases, allergic and inflammatory diseases, cancer, cardiovascular and metabolic diseases, neurological diseases, hematologic conditions, infectious diseases, and rare diseases. Its lead therapy, the anti-inflammatory Dupixent, generated $17.8 billion in revenue in 2025. It also recently added its ninth approved indication. On Feb. 23, the Food and Drug Administration (FDA) approved Dupixent for the treatment of allergic fungal rhinosinusitis, a type of chronic sinus infection, making it the first approved treatment for the condition.

Regeneron shares its Dupixent profits with Sanofi, but their collaboration agreement was structured so that once its reimbursement obligation is met sometime this year, Regeneron will start getting a larger percentage of the drug's profits.

While Dupixent is its lead therapy, Regeneron has two other blockbuster drugs among its 13 approved treatments: eye therapy Eylea and cancer treatment Libtayo. Its pipeline includes 45 therapies, including several marketed drugs that it's investigating for additional indications.

On the fourth-quarter earnings call, President and CEO Leonard Schleifer said that the company is expecting at least four FDA approvals this year. And that figure does not include garetosmab, a biologic developed to treat fibrodysplasia ossificans progressiva, a rare genetic disorder in which soft tissue turns into abnormal bone. Garetosmab's biologics license application was accepted by the FDA on Feb. 19 under priority review, with an August target date for its approval decision.

Plenty of financial security and another blockbuster soon

In 2025, Regeneron's revenue rose 1% to $14.3 billion while earnings per share rose 8% to $41.48. After Dupixent, its biggest sellers were Eylea at $4.4 billion, down 27%, and Libtayo, up 8% to $1.5 billion.

Those two drugs may soon be surpassed in sales if Regeneron secures FDA approval for olatorepatide, its GLP-1 weight loss and diabetes candidate. In a phase 3 trial run by Regeneron's Chinese partner, Hansoh, the drug showed efficacy similar to the leading GLP-1/GIP receptor agonist on the market: Eli Lilly's tirzepatide, which is marketed as Mounjaro and Zepbound. And olatorepatide may be easier to tolerate than other GLP-1/GIP agonists. Hansoh reported lower rates of gastrointestinal adverse events and fewer treatment discontinuations in its trial compared to similar drugs.

Eli Lilly booked $36.5 billion in sales from Mounjaro and Zepbound in 2025, so if olatorepatide earns regulatory approval, it could easily spark rapid revenue growth for Regeneron.

Analysts predict that olatorepatide could deliver $14.8 billion in annual revenues by 2028 -- more than the company's $14.3 billion total revenue last year. Moreover, the weight-loss drug sector, according to one report, was worth $4.2 billion in 2025 and is expected to reach $23.6 billion by 2030. So, based on that addition to its offerings alone, Regeneron has the potential to be a two-bagger well before 2036 and to deliver multibagger gains to investors who buy shares now.

James Halley has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Regeneron Pharmaceuticals. The Motley Fool has a disclosure policy.